Jul. 23, 2019
Mr. Yasuda also expressed his concern about the risks posed by the increased supply of products from unknown sources. During China’s ICAMA (Institute for the Control of Agrochemicals, Ministry of Agriculture)’s visit to Brazil in this September, Chinese and Brazilian authorities will discuss this issue with producer associations.
With regard to the risk control measures in Brazil, Tu Zhan, the General Manager of Ningbo Jiangdong Yingnong Lide Trading Company, used his valuable experience of nearly 20 years of hard work, along with case studies, to explain the market changes and narrate the company's business stories. In the Latin American market, risk control is very important. Apart from the common concern over transactions on credit, all the political, climate and exchange risks are a cause for attention. The general elections in Latin America may lead to the release of radical policies, which are meant to attract votes, and elections may cause serious delays or even a suspension in the registration process, which will seriously affect business operations. Extreme weather conditions are increasing, and droughts are becoming frequent throughout Latin America. Weather fluctuations can affect the stock of goods. Furthermore, the change in the exchange rate caused by the open financial system in Latin America also requires adequate control measures to be put in place through a proper financial arrangement.
Advanced company philosophy and strategy
Environmental protection and work safety are issues of common concern all over the world. Moshe Ahimas, Head of the Global QHSE of ADAMA, shared ADAMA’s unique concept of environment protection and work safety. Currently, ADAMA is using its Israeli experience to complete the construction of the Sanonda plant in Jingzhou by introducing the highest level of pollution control facilities and technology. ADAMA will do its best to minimize the environmental impact caused by production activities and is committed to the speedy upgradation of production facilities in China so as to meet the highest international standards as early as possible.
Lawrence Yu, Head of the Asia Pacific Region of AMVAC, spoke about the establishment of the distribution channel and the company's acquisition strategy over the last few years. In the past few decades, the company has acquired brand products divested from manufacturers such as Corteva, Bayer, Syngenta and ADAMA. A further acquisition of Grupo Agricenter, which is a Central American distributor, has increased ADAMA’s presence in Latin America. The company is also expanding its product lines by acquiring complementary industry divisions. With regard to the selection of targets for acquisition, he said that the principle for acquisition is that the acquired companies should be digestible and manageable. Mr. Yu also stressed the importance of financial liquidity, which ensures the timely closing of acquisitions.
João Martins, the General Manager of Ascenza, spoke about the crop protection framework in the European Market with special emphasis on the regulatory environment and how it can impact the supply chain in particular the Chinese manufacturers. As far as Ascenza is concerned, the company has maintained a stable relationship with vendors, particularly Asian manufacturers with whom the longest cooperation has exceeded more than 20 years and have been the key lever behind the impressive growth in the latest years.
Mr. Martins also shared the main topics of Ascenza strategy to position this company as one of the benchmark players in the off-patent segment in the European and Brazilian markets. The audience also learned that Ascenza is part of an agrobusiness platform that with Tradecorp (Specialty Crop Nutrition) and Idai Nature (Biocontrol) enables a well-balanced agriculture in more than 70 countries worldwide.
The South African Market, which is an emerging market, has been growing rapidly over the last few years. Anup Chand, CEO of Curechem, and the Regulation Specialist, Chris Coetzee of BioScience Research of South Africa, respectively, introduced the development of the market in Southern Africa and the entry requirements, as well as registration procedures, thus providing useful information to companies wishing to access the market.
A professional platform for industry exchange
This is the third consecutive year that AGROPAGES helds China Pesticide Exporting Workshop, open to worldwide industry practitioners. The workshop has become a special platform dedicated to global exporters and sourcing companies and its influence is growing annually, expanding to extend to the entire industry chain to cover upstream pesticide intermediate manufacturers and downstream crop protection companies, which have expressed interest and participated in the workshop.
This year, the Chinese pesticide export situation appears uneasy and this might be one of the reasons that this year's workshop has attracted a record-high number of participants from Chinese and overseas enterprises. It is visible from the representatives of Chinese enterprises that they generally have anxiety about this situation.
At the workshop, Director Wu Houbin from ICAMA explained the worrying situation using a set of Chinese pesticide export and import indicators of H1 of 2019, which was firstly publicized by AGROPAGES at the workshop. Until June 30, 2019, China's total pesticide exports in H1 was US$4.178 billion, 2.6% up year-on-year, reflecting a continued declination of Chinese pesticide exports over recent years, as compared to the 8% average increase witnessed last year and the double-digit increases in the previous years.
Since the launch of the workshop, the number of overseas participants has increased annually and the participating countries have been expanding, proving the close attention and strong interest of global buyers towards Chinese pesticides, as well as the rise in India’s production.
After the workshop, AGROPAGES spoke to participants from home and abroad. Chinese domestic participants, in general, expressed that while the industry is currently not so stable, it would be necessary to connect industry stakeholders via such a communication platform to share market information and promote market development. It helps enterprises alleviate worries and think about the right methods of development according to their own orientation of development.
Overseas participants at the workshop focused their attention on understanding the Indian and Chinese agrochemical development trends and locating new suppliers. These two purposes were adequately fulfilled at the China Overseas Agrochecmial Company Business Exchange Meeting held on the evening of July 3, and also during the two-day discussions at the workshop. Dr. Dave, Secretary of PMFAI, said to AGROPAGES, “This is a wonderful and well managed event. To be truthful, I never imagined it would be such a large event and see such participation from overseas delegates. ”
Mao Jin, the Area Manager of SDS Biotech, lauded the benefits the workshop provided and suggested that Japanese agrochemical companies may also need to think about organizing such an event to promote industry exchanges between Japan and other parts of the world.
Jean-Guillaume Delpierre from Certis Europe has participated in this workshop twice and said he would attend it again next year due to his high regard for it.
During the workshop, AGROAPGES received invitations from overseas counterparts asking for such an event to be held overseas. Anup Chand from CureChem of South Africa invited AGROPAGES to organize such a workshop in South Africa, and said they are happy to provide help and assistance. Sandy Chong of Kenso, Malaysia, also proposed such a workshop in Malaysia.
Call for papers at 2020 CPEW
So far, preparations for 2020 CPEW are underway. AGROPAGES has begun asking for workshop reports from worldwide agrochemical enterprises. If you are a prime local agrochemical enterprise and have rich experience, if you have unique and profound industry insights, we welcome you to apply to become a keynote speaker at the 2020 CPEW, interact with 500 industry practitioners from all over the world, and enjoy free publicity via AGROPAGES.
You can participate CPEW via:
Book a meeting room
Open a negotiation desk
Attend the 2020 CPEW
If you wish to join the international exchange platform of 2020 CPEW, please contact: firstname.lastname@example.org
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